The role of the non-Archimedean construct ∈ in the CCR and BCC models is clarified. It is established that the associated dual linear programs can be infeasible (for the multiplier side) and unbounded (for the associated dual envelopment side program). Sufficient conditions are established for feasibility and boundedness. Computational testing indicates that improper selection of a value for e can result in serious errors. The importance of the results for DEA practitioners and the serious consequences of misclassification are discussed.
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Ali et al. (1993) studied this question.
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